It’s Not Just You:Everyone Hates Performance Reviews

Broken System, Broken Promises

The traditional method for evaluating employee performance — the annual review — hurts both the organization and the individual. Research shows this kind of evaluation is often unfair and demotivating, and leads to a drain on productivity.

What’s Not Working

One Year in One Hour?Experts say it’s unrealistic to set aside just one hour a year to discuss past performance, set new goals, fill out paperwork and provide coaching —all while allowing time for meaningful dialogue and upward feedback. More reading: “9 Reasons Performance Reviews Are a Waste of Time,” Alexander Kjerulf

Looking BackwardOne of the biggest criticisms of the traditional annual review is that too much time is spent looking back at the previous year and too little on setting goals for the upcoming year. “Given the pace and complexity of business today, looking backward isn’t very useful,” writes leadership consultant Greg Giuliano. “It’s too late.”More reading: “To Encourage the Heart, Forget Performance Reviews,” Greg Giuliano

Frozen MomentumAt most organizations, the review process grinds business to a halt. Employees fill out lengthy paperwork. One-on-one meetings clutter calendars. Managers meet for days behind closed doors to rate and compare employees.More reading: ”Ten Good Reasons to Kill Performance Reviews,” Forbes

Creating DissatisfactionScientists say traditional reviews make us less effective workers. Being told how to improve can make employees feel threatened, which leads to lowered cognitive abilities and creativity. In a recent study, even employees who said they were open to constructive criticism were unhappy after being evaluated.

More reading: “The Perils of Performance Appraisals,” Association for Psychological Science

It Can Be UnfairResearch has shown that two-thirds of employees receiving the top scores in performance reviews are not actually the top performers. Only 23 percent of HR leaders recently surveyed say they are satisfied with the outcome of their organizations’ performance evaluations.More reading: “The Corporate Kabuki of Performance Reviews,” The Washington Post

How To Improve Performance Reviews

Be TimelyBusiness no longer crawls along in one-year intervals. Work is now nimble, agile and focused on consumer needs and wants. Teach managers to provide coaching and feedback throughout the year. Don’t get rigid with scheduling — a feedback session should come after a major task has been accomplished. More reading: “Put Performance Back Into Performance Management,” CEB

Streamline the ProcessProfessional services provider Deloitte has boiled the review down to four questions. They are asked at the conclusion of each project.• “Given what I know of this person’s performance, and if

it were my money, I would award this person the highest possible compensation increase and bonus.” (Five-point scale)• “Given what I know of this person’s performance, I

would always want him or her on my team.” (Five-point scale)• “This person is at risk for low performance.” (Yes or no)• “This person is ready for promotion today.” (Yes or no)

More reading: “The Push Against Performance Reviews,” The New Yorker

Focus on the Future

The past is the past. Performance management needs to look forward, putting employees and managers together to collaborate and set SMART (specific, measurable, achievable, relevant and time-based) goals for the future.More reading: “Why Performance Reviews Are a Waste of Time and Money,” Inc.

Be an Advocate for ChangeHR officials may not want to experiment with a system they know well. Make a compelling case for change, explain the benefits and get buy-in from leadership.More reading: ”The Corporate Kabuki of Performance Reviews,” The Washington Post